As we approach mid-year and the end of spring legislative sessions, there are a number of updates to share with you regarding legislation affecting direct shipping.
Winery-to-Consumer Direct Shipping Opens in MS and AR
Over the last few months, we’ve been excited to share that progress was made in these states to open them more fully to winery-to-consumer direct shipping. It is anticipated that licensing and permitting in both states will be live as of August 2025.
In both states, certain agencies are still discussing how to craft legislation affecting direct shipping that is as reasonable and uncomplicated as possible. For example, in Mississippi, the law originally passed (SB 2145) included some concerning criminal penalties. Thankfully, these were removed or downgraded to civil penalties with the subsequent passage of SB 2851. We’ll keep you updated on any additional changes.
Extended Producer Responsibility
As we’ve mentioned previously, several states are considering issues related to packaging, recycling of said packaging, and the producer’s role in that process. This type of legislation affects direct shipping decisions. As of May 2025, two states have reached some decisions of note on this front.
Maryland - became the sixth state to adopt an ERP program, which will take effect July 1, 2025. The Office of Recycling will administer the program in the Maryland Department of the Environment (MDE). The “beverage containers” in question covered by this program include any materials and any form, such as a bottle, can, carton, or pouch with a volume less than 5 liters, but exclude containers covered in the future by any state deposit return program. Primary, secondary, and tertiary packaging is also covered. There are some exemptions for “de minimus producers”, those who are introducing less than one ton of covered material in Maryland or earning global revenue of less than $2 million annually.
The program requires all producers of covered products to join the Circular Action Alliance (CAA), which was selected as the Producer Responsibility Organization (PRO). The CAA will set performance rates, fees, and reimbursements. More information is available here.
Washington - has adopted an EPR program modeled on Minnesota’s, which covers primary, secondary, and tertiary packaging materials made of paper, plastic, metal, or glass.
On May 17, 2025 Governor Bob Ferguson signed into law SB 5284. This new law will require each covered producer to appoint a producer responsibility organization (PRO) by January 1, 2026, and then be registered with that entity by July 1, 2026. As in Maryland, exemptions include those for producers introducing a minimal amount of covered materials, lower global gross revenues, or agricultural employers meeting certain sales parameters. The bill also includes provisions that could result in establishing a bottle deposit system.
Finally, Iowa has rescinded its previous requirement to submit label registration forms and copies of wine product labels to the Iowa Department of Revenue before shipping production into the state. See more here.
